10/06/2026
Many economists have noted how limited the demonstrated business case for AI still is.
So the layoffs being actively attributed to AI are, in many ways, not actually because of AI, because there is no business case for it.
What is really happening: A right-sizing of organizations that grew in excess of their capacity to get people into meaningful, outcome-oriented, value-creating work - when interest rates were lower and financing was cheaper.
AI is a convenient boogeyman for some of the decision-making that is taking place around this.
And that label carries a cost.
Many of these same enterprises are already rehiring the employees they let go (under the radar).
Mass layoffs (attributed to a technology) that leaders then need to walk back, do not contribute to building trust - in fact, they do the opposite.
They do not build credibility. If anything, they only create more cynicism in the workforce.
Better, more thoughtful, more intentional ways, more strategic ways, to redesign work will work far better.
How much of the blame that AI is getting are for decisions (that are about something else)?
Would love to hear your thoughts in the comments π